Bombardier in holding pattern amid China slump

MONTREAL— Fears of a Chinese economic slowdown that shocked markets and rattled investors are also hampering Bombardier’s efforts to firm up sales of its new CSeries aircraft, according to the Montreal aircraft manufacturer.

“Discussions are moving at a slower pace,” said spokeswoman Marianella de la Barrera.

Bombardier said it remains in discussions with potential buyers, especially customers with conditional orders for the plane set to enter into service next year.

“Those are the ones we’re waiting to go firm and they are taking a little more time,” de la Barrera said.

Meanwhile, Quebec-based flightsimulator maker and pilot training provider CAE remains optimistic despite China’s economic troubles.

Demand for its services is driven by air travel growth, which is up more than 7 per cent in Asia on average over the past three years and is expected to continue growing at a similar pace.

“So far, our Asian training centres continue to operate at normal capacity,” said CAE vice-president Hélène Gagnon.

CAE has nearly 15 training centres in Asia and joint ventures with airlines including China Southern and China Eastern.

“Despite the current volatility in China’s financial market, we see strong growth in the country’s aviation sector over the long term,” Randy Tinseth, vice-president of marketing for Boeing commercial airplanes, said in a news release.

In China, air traffic has grown15 per cent so far this year. While aircraft deliveries are expected to slip next year, Chinese carriers will continue to add capacity and could announce orders as the government releases its next five-year plan in October, J.P. Morgan analyst Seth Seifman said.